PayPal Exec Says ‘Very High Likelihood’ Bitcoin Will Become Popular Payment Method

PayPal’s chief financial officer, John Rainey, spoke positively of Bitcoin’s (BTC) use as a future popular option for payments during an interview with The Wall Street Journal (WSJ) published Monday, Feb. 19.

“Given the volatility of bitcoin right now, it’s not a reliable currency for transactions because if you’re a merchant and you have a 10% profit margin, and you accept bitcoin, and the very next day bitcoin drops 15%, you are now underwater on that transaction.”

In response to the question if cryptocurrencies will ever be popular as a payments, Rainey tells WSJ that there is “a very high likelihood” of that happening:

“The technology, there is real merit to it. I do think, though, it will be years down the road before we see the kind of ubiquity and acceptance that make it a form of currency that is used every day.”

PayPal co-founder Max Levchin said in December of last year that while he thinks Blockchain technology is revolutionary, he hasn’t “figure[d] out” his views on Bitcoin’s future yet.

Coinbase, a cryptocurrency wallet and exchange platform, added former PayPal executive David Marcus to its board of directors last December.